Polyurethanes
Overview
Polyurethanes are a feature of everyday life. They’re present in our furniture, bedding, clothes, shoes, buildings, and cars. The journey from base chemicals such as propylene or benzene to end-use polyurethanes involves multiple steps and chemical products. Argus can help you to navigate this complex and volatile value chain and make better commercial decisions around sales, marketing, distribution and procurement.
Argus’ polyurethanes services give you in-depth global and regional pricing insight, including feedstock analysis, in single, concise and integrated reports. In addition to pricing, you get access to global industry news and analysis of key economic drivers on a weekly basis. We cover isocyanates, propylene oxide, propylene glycols and polyols.
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Latest polyurethanes news
Browse the latest market moving news on the global polyurethanes industry.
BASF materials unit sales higher despite price declines
BASF materials unit sales higher despite price declines
Houston, 30 October (Argus) — German-based chemical company BASF reported a gain in total material sector business sales in the third quarter, as volume increases in the monomers division offset lower performance materials prices. Materials division sales rose by 1.9pc to €3.4bn ($3.69bn) from a year prior. A 3.5pc increase in volumes helped to negate a 0.5pc decline in prices during the quarter. Increases in the MDI, propylene oxide and ammonia value chains drove higher overall volumes in the third quarter, and the sector benefitted from a stable market environment, BASF said in an earnings call on Wednesday. The company's materials sector has a performance materials division, which includes engineering plastics, thermoplastic polyurethane and polyurethane systems, and a monomers division that encompasses isocyanates, adipic acid, chlorine, ammonia and other products. Performance materials volumes were stable, rising by just 0.2pc in the third quarter, while sales declined by 3.3pc. This sales decline was driven by lower performance materials prices, down by 2pc on the year, primarily in Europe and North America. The monomers division reported a 7.2pc increase in volumes, contributing to a 7.8pc rise in sales year over year. A 1.2pc price increase in the monomers division and improving demand partially compensated for price declines in performance materials. BASF's total sales remained flat at €15.7bn in the third quarter from a year prior. BASF's outlook for the full year remained unchanged, with slight growth in chemical production expected. The company also noted that it expects overall volumes to maintain steady through the fourth quarter. By Hadley Medlock Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Covestro reports higher Q3 sales, chemical volumes
Covestro reports higher Q3 sales, chemical volumes
Houston, 29 October (Argus) — German chemical firm Covestro reported an increase in both group sales and volumes sold in the third quarter on improving global demand. Group sales rose by 1pc to €3.6mn ($3.88mn) in the third quarter, despite lower selling price levels across all regions, Covestro said in an earnings call on Tuesday. An increase in volumes across the Asia-Pacific and Europe, Middle East, Africa and Latin America (EMLA) regions buoyed sales and offset declining prices. Total product volumes rose by 6.1pc year over year, driven by higher demand and improved internal ability. Product volume numbers by region were not provided. Sales in the performance materials segment, which includes standard MDI, TDI, long chain polyols, standard polycarbonate resins and basic chemicals, rose by 4.1pc from the prior year to €1.77mn driven by an increase in volumes sold. Performance materials volumes increased by 8.6pc in the third quarter, led by the EMLA region. Abu Dhabi's state-owned Adnoc agreed to buy Covestro on 1 October for €62/share. Adnoc published its offer document on 25 October, marking the start of the initial acceptance period that will last until 27 November. There is also the possibility of an additional acceptance period, the company said, which would last through the middle of December. For 2024, Covestro is forecasting declines in all major regions across industries that drive customer demand, except for the electrical, electronics and household appliances industry in which it expects 4.2pc growth. The company also narrowed full-year sales expectations from €14-15bn to €14-14.5bn. By Hadley Medlock Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Carlisle 3Q sales up in challenging environment
Carlisle 3Q sales up in challenging environment
Houston, 25 October (Argus) — US building materials supplier Carlisle Companies reported an increase in revenue in the third quarter but expects soft residential demand to continue through the end of the year. Carlisle Companies lowered its 2024 guidance from 12pc to 10pc revenue growth, partly due to the challenging construction environment. Two hurricanes along the Gulf Coast and a port strike that limited work in the third quarter also led the company to lower guidance. Revenue in the third quarter rose by 6pc to $1.3bn compared with a year prior, led by sales in the Carlisle Construction Materials (CCM) segment, which grew by 9pc to $998mn. CCM growth was driven by continued contractor backlogs, commercial re-roofing demand and inventory normalization, the company said. The company anticipates significant pent up re-roofing demand to drive growth over the next few years, specifically in the commercial building space. Carlisle Weatherproofing Technologies (CWT) revenue declined 3pc to $335mn in the third quarter from a year earlier. Softer residential end markets in a high interest rate environment and low housing turnover impacted the CWT business segment, said Carlisle President, Chris Koch. The US Federal Reserve cut its target interest rate in September, the first rate cut since 2020, with the expectation of more to come. Most market participants do not expect economic factors to impact orders until one to two quarters after such movements. Construction is one of the largest demand sectors for MDI and polyols for use in insulation board and polyurethane coatings. The construction industry is the most active in the summer and demand for chemicals like MDI into insulation board tends to be steady through the third quarter and taper off into the fourth. By Catherine Rabe Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Dow to review European polyurethane assets
Dow to review European polyurethane assets
London, 24 October (Argus) — US chemicals firm Dow is undertaking a strategic review of its European polyurethanes assets, the company said today. Dow will consider whether there are divestment opportunities. The assets under review are not loss-making and have "good cost positions in the European market", chief executive Jim Fitterling said during the firm's third-quarter results call. The review "really isn't driven primarily by shutdowns", he said. Dow has a 635,000 t/yr chlorohydrin PO production plant in Stade, Germany, as well as related derivatives capacity at the site including 280,000 t/yr of propylene glycol production. The firm has 330,000 t/yr of HPPO capacity in Belgium as part of a join-venture with BASF and 684,000 t/yr of polyether polyols production capacity across three sites in Belgium, the Netherlands and Spain. It also has 380,000 t/yr of installed MDI production capacity across two sites in Germany and Portugal as part of its polyurethanes portfolio. "I don't believe shutting down MDI assets is going to be a value-creating opportunity, but we're going to look at everything," Fitterling said. The firm's chlor-alkali and vinyl (CaV) assets will be included in the review. "Chlorine-PO integration is critical for us," Fitterling said. "They are not [separable], we are not going to do anything without close contact with not only our own chlorine assets but also with our partners in Europe." Dow has two chlorine assets in Europe including 1mn t/yr of diaphragm capacity and 600,000 t/yr of membrane capacity at Stade, as well as 250,000 t/yr of membrane capacity at Schkopau in Germany. Fitterling did not discuss the firm's upstream assets but said the review in Europe "is around polyurethanes". The assets under review account for around 20pc of Dow's sales in Europe, the Middle East and Africa. Dow expects to complete the review by mid-2025. The firm pointed to "key competitiveness issues" and "the higher cost position" in Europe. It said it has concerns around the "need for clear and consistent long-term regulatory policies for our industry". In the current environment, demand recovery is "unlikely to be enough" to provide swift growth in Europe, it said. LyondellBasell launched a similar strategic review of some European assets in May, although it has not yet announced any conclusions. Sales down Sales volumes in Dow's Industrial Intermediates & Infrastructure segment, which includes its polyurethanes business, fell by 2pc in the third quarter compared with a year earlier. This was driven by lower volumes in the Polyurethanes & Construction Chemicals business, "primarily from a force majeure in MDI following a third-party supplier outage", the company said. Net sales revenue for the Industrial Intermediates & Infrastructure segment was $3bn in July-September, down by 2pc from a year earlier. Local prices were flat year on year, the firm said. By Laura Tovey-Fall Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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